ThruThink® and EBITDA

With ThruThink®, earnings for a business is expressed as Earnings before Interest, Income Taxes, Depreciation and Amortization (EBITDA).

Since EBITDA is a product of sales less expenses, in order to get to EBITDA, the User may input very specific inputs for Sales and Expenses, however some situations call for the convenience of jumping over the sales less expense process and simply input EBITDA directly. ThruThink® incorporates the ability to use either Sales less Expenses or EBITDA directly to show earnings.

After EBITDA is determined, ThruThink®  shows the effects of an existing debt and equity structure or offers the opportunity to design a preferred debt and equity structure to provide the appropriate capitalization to weather start up risks, acquisition risks, expected business performance and to protect against the unexpected events that inevitably come along in the life of most businesses.
EBITDA and money